The Abu Dhabi Department of Municipalities and Transport (DMT) has revealed that foreign direct investment (FDI) in the real estate sector ‘soared’ to AED 834.6 million during the first half of 2023.

This represents a record growth rate of 363% compared to the corresponding period last year, said the authority.

Responding to the explosive growth in the UAE capital, His Excellency Dr. Adeeb Al-Afifi, executive director of the Real Estate Sector, DMT urged the city to continue to build a comprehensive and enticing real estate ecosystem for foreign investors, “characterised by streamlined processes and seamless government service experience that facilitates the flow of foreign direct investments into the real estate sector in Abu Dhabi.”

At 34% growth, Saadiyat Island proved to be the most popular area with Yas Island (28%), Al Jurf (12%), Al Reem Island (11%), and Al Shamkha (8%) also attracting investors.

“We are thrilled to announce the remarkable surge in foreign direct real estate investments in Abu Dhabi,” added Al-Afifi.

“The astounding 363% growth witnessed during the first half of this year is a testament to the emirate’s exceptional appeal to foreign investors. This includes its strategic location, world-class infrastructure, and supportive economic and legislative environment, all of which have contributed to enhancing the emirate’s position as a preferred destination for individuals of all nationalities to invest, live, and work.

“Abu Dhabi’s investment climate, bolstered by encouraging incentives and robust legislative and regulatory frameworks, has created a nurturing and stimulating environment for foreign investors pursuing promising prospects in the real estate market. Moreover, the emirate’s unwavering commitment to adopting sustainable development policies, innovation, economic diversification, and environmental sustainability has significantly enhanced its ability to attract foreign direct real estate investments.”